New Delhi: Counsel representing the Amrapali home buyers on Tuesday opposed the decision of the Supreme Court-appointed receiver asking the home buyers to deposit an additional amount at Rs 200 per square feet for their flats to meet the shortfall for the construction of housing projects.
Counsel informed the apex court that a total of Rs 11,320 crore was ordered to be recovered from various sources as per the top court’s judgment in 2019, yet home buyers are being burdened with this extra amount. However, the receiver has sought clearance from the top court for the decision regarding the additional amount of Rs 200 per sq. feet for flats.
In a note submitted in the apex court, advocate M.L. Lahoty, representing the Amrapali home buyers, said: “On July 23, 2019, the judgment was delivered of which page 331 summarises the total recovery to be made from various sources to the tune of Rs 11,320 crore and that as per NBCC proposal dated September 4, 2018, a total of Rs 8,500 crore (reduced thereafter to Rs 8,000 crore (approx..) is required to complete all projects involving 46,474 units and connected facilities.”
According to notice by the top court-appointed receiver, a sinking cum reserve fund shall be created to make provision of shortfall in construction cost and interest cost, if any. All the home buyers across shall be asked to deposit a sum calculated at Rs 200 per square feet for booked units in that and such funds if not utilised, shall be refunded back to them on overall completion of the projects, said the notice, adding that since the initial booking made by the home buyers, the construction cost has increased.
Counsel’s note added, “As of June 30, 2022, NBCC has constructed a total 3,334 units (as per the receiver’s website) which is less than 10 per cent of the total construction, out of the required fund of Rs 8,000 crore (approx..), NBCC has already received Rs 2,750 crore (approx..) which is almost 33 per cent.”
Of a sum of Rs 11,320 crore, the note said Rs 3,624.25 crore was supposed to be recovered from homebuyers, out of which Rs 1,100 crore approximately has been received, the unsold inventory was for Rs 1,991.69 crore, out of which Rs 23.4 crore was approximately received (10 percent of Rs 234 crore from 408 units sold). And, Rs 4056.81 crore was supposed to be recovered from former Amrapali promoters, directors, CFO etc. However, Rs 745.37 crore was approximately recovered so far (Rs 600 crore through recoveries + Rs. 145.37 crore through DRT & MSTC,” added the note.
Kumar Mihir, counsel representing the homebuyers, said “Rs 825 crore have been received out of the total Rs 2,150 crore funded by SBI Caps (Rs 650 crore) and bank consortium (Rs 1,500 crore)… therefore, homebuyers should not be burdened with this extra Rs 200 per sq. feet to meet the shortfall.”
Lahoty’s note further added that significantly, from the promoters, directors, CFO, statutory auditor and family members, over Rs 913 crore were to be recovered of which only a miniscule amount of Rs 13.25 crore has been recovered till date, although more than 15 orders were passed from October 14, 2019 to March 14, 2022.
It said to expedite the sale of 5,229 unsold flats and FAR, NBCC was appointed by the order dated October 29, 2020, however, large number of flats and FAR are still lying unsold.
On July 12, the top court-appointed receiver, senior advocate R. Venkataramani also submitted a note in the top court. “As regards the decision namely creation of a Reserve cum Sinking Fund and the demand of payment of Rs 200/ square feet of the area, the unit concerned from each home buyer (which will go into the sinking fund), several responses have come, questioning the same. It is submitted that all decisions including the above have been taken in view of several challenges and issues in the matter of realistic realisation of amounts due from various sources including payments from homebuyers,” it said.
The note further added: “It is submitted that the decisions taken by the committee and the receiver be cleared by this court, at this point of time, instead of exposing the Committee, the receiver, the banks and the home buyers to unresolvable situations leading to stalemate in the execution of the projects at a later point of time.”
The receiver’s note said it is found appropriate not to burden the court with the details regarding sale of properties and related issues. “This court may deem fit to observe that it will be entirely within the scope and the work of the committee and the receiver to act on the best of their judgment and assessments to take final decisions on all such matters,” it added.
Speaking to IANS, Lahoty said home buyers’ should not be burdened with this extra amount, and instead money should be recovered from erstwhile promoters and directors of the Amrapali group who siphoned off the money.
The top court is likely to take up the matter for consideration on July 25.
(IANS)
